New Hire and Onboarding Policy
This policy establishes the framework for onboarding new sales representatives into the Company's compensation plans, defining ramp schedules, training requirements, quota phase-ins, and commission eligibility during the initial employment period.
1Purpose & Objectives
This policy establishes the framework for onboarding new sales representatives into the Company's compensation plans, defining ramp schedules, training requirements, quota phase-ins, and commission eligibility during the initial employment period.
- •Define ramp schedules for new sales representatives
- •Establish training requirements during onboarding
- •Set quota phase-in structures
- •Define commission eligibility during initial employment period
2Scope
Applies To
- •All newly hired sales representatives eligible for variable compensation
- •All sales roles transferred from non-sales positions
- •All the Company divisions and business units
- •Internal promotions to sales roles requiring compensation plan transition
3Definitions
New Hire
Any sales representative in their first 180 days of employment in a variable compensation role.
Ramp Period
The defined timeframe during which a new hire's quota and/or commission rates are adjusted to account for learning curve and territory development, typically 90-180 days.
Quota Ramp
Progressive increase in sales quota from reduced levels to full quota over the ramp period.
Training Period
The initial phase (typically 30-60 days) focused primarily on product training, systems training, and territory familiarization.
Full Productivity Date
The date on which a new hire transitions to 100% quota and standard commission rates.
4Key Provisions
New sales representatives follow a progressive ramp schedule over 5 months.
Month 1 (Days 1-30)
Training period with 0% of territory quota. Eligible for commission on any closed deals at standard rates.
- •Quota: 0% of territory quota (training period)
- •Commission: Eligible for commission on any closed deals at standard rates
- •Focus: Product training, systems training, territory review, customer introductions
Month 2 (Days 31-60)
Initial selling phase with 25% of territory quota.
- •Quota: 25% of territory quota
- •Commission: Standard rates apply
- •Focus: Initial customer meetings, pipeline building, first deals
Month 3 (Days 61-90)
Active selling phase with 50% of territory quota.
- •Quota: 50% of territory quota
- •Commission: Standard rates apply
- •Focus: Active selling, pipeline management, first quota attainment
Month 4 (Days 91-120)
Near-full productivity with 75% of territory quota. Accelerators not eligible until Month 5.
- •Quota: 75% of territory quota
- •Commission: Standard rates apply
- •Accelerators: Not eligible until Month 5
Month 5+ (Days 121+)
Full Productivity Date: 100% of territory quota with full plan including accelerators.
- •Quota: 100% of territory quota (Full Productivity Date)
- •Commission: Full plan including accelerators
- •Status: Standard plan participant
5Compliance References
Federal Laws
- •FMLA (Family and Medical Leave Act)
- •HIPAA (Health Insurance Portability and Accountability Act)